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Healthcare Reform is Coming to the Pacific Northwest… But What About Persons with Co-Occurring Disorders? Dale Jarvis, CPA

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Presentation on theme: "Healthcare Reform is Coming to the Pacific Northwest… But What About Persons with Co-Occurring Disorders? Dale Jarvis, CPA"— Presentation transcript:

1 Healthcare Reform is Coming to the Pacific Northwest… But What About Persons with Co-Occurring Disorders? Dale Jarvis, CPA

2 Advanced Publicity Many wheels of change are beginning to turn as healthcare reform unfolds, but what about the Americans with co- occurring disorders? Will the needs of one of society’s most vulnerable populations be addressed as national healthcare reform unfolds or will this group be an afterthought or non-thought? 2

3 Warning… Emerging body of research about the relationship between stress and Heart disease, diabetes, other chronic health conditions and early mortality… 3 Neuroendocrine System

4 Dale’s 19-State Adventure... 4 4


6 But Seriously… Let’s Start with Two Questions Question 1: Will healthcare reform really fix the healthcare system? Question 2: How will the answer to question #1 affect Americans with mental health, substance use and co-occurring disorders? 6

7 Question 1: Will healthcare reform really change the healthcare system? 7 7

8 Grounding Ourselves in “The Problem” 8

9 The U.S. Quality and Cost Problems 110 Preventable Deaths per 100,000 $7,285 Per Capita Health Expenditure 9 9 9

10 Another view of “The Problem” 1% of the population use 20% of the healthcare resources 5% use 50% (the 5/50 population) And the care they receive generally sucks (a technical term) 10

11 Connecting the Dots: The Third Problem Mental Health, Substance Use, and Co-Occurring Disorders: an inseparable part of the equation 11

12 The 53 year lifespan for Americans with a Serious Mental Illness is comparable with Sub-Saharan Africa Americans with a COD are dying, on average, at age 45 (Oregon Department of Human Services Addiction and Mental Health Division, June, 2008) 12 The Consequences for Americans with a SMI and a COD 12

13 And several studies show that half of the 5/50 population has a mental health, substance use, or co-occurring disorder 13

14 The Fix… 14

15 Four Strategies in the Affordable Care Act, the New Healthcare Reform Law... 15

16 Coverage Expansion Expands Coverage to most Americans – Expands Medicaid for all Under 133% of the Federal Poverty Level – Creates State Health Insurance Exchanges to help Newly Insured and those with Individual and Small Group Coverage to Purchase Affordable Policies (large buying club) – Provides Credits & Subsidies up to 400% of the Federal Poverty Level to help Individuals and Families Purchase Insurance 16

17 Coverage Expansion: Most Members of the Safety Net will have Coverage Including MH and SU Benefits 32,000,000 more Americans with coverage Many of these individuals will be uninsured, low income, single adults, many of whom have a substance use disorder 17

18 Service Delivery Redesign and Payment Reform The Commonwealth Fund’s The Path to a High Performance U.S. Health System Identifies 10 Health Care Reform Policies that can save $3 trillion over 10 years (Commonwealth Fund 2009) 18

19 How is this Possible? “ Follow the Money” (Deep Throat quote from Bob Woodward’s account of Watergate) Need to invert the Resource Allocation Triangle: Prevention Activities must be funded and widely deployed Primary Care budgets in this country must double Mental Health and Substance Use Disorder Services must be available to all In order to Decrease Demand in the Specialty and Acute Care Systems 19

20 Service Delivery Redesign: Everyone is talking about Healthcare Homes What are they? Where did they get that name? Why are they important? 20

21 Healthcare Homes: What are They? Trying to navigate the healthcare system in the U.S. is like trying to find your way through a tangled maze Especially if you are one of the 45% of Americans with a chronic health condition such as diabetes or hypertension Most of whom have three or more doctors that don’t talk with each other or share information 21

22 Healthcare Homes: Primary Care Clinics that Look and Act Differently Picture a world where everyone has... – An Ongoing Relationship with a PCP – A Care Team who collectively takes responsibility for ongoing care – And Provides all Healthcare or makes Appropriate Referrals – Helping ensure that Care is Coordinated and/or Integrated And where... – Quality and Safety are hallmarks – Enhanced Access to care is available (evenings & weekends) – And Payment appropriately recognizes the Added Value (Joint Principles of the Patient-Centered Medical Home: 22

23 Healthcare Homes: What are They? Oregon’s Description… 23

24 Healthcare Homes: Where did they get that Name? Actually there are several names: – Patient-Centered Medical Home (PCPCC) – Person-Centered Healthcare Home (National Council) – Patient-Centered Primary Care Home (Oregon) – Medical Homes – Health Homes All of which are trying to convey the message that the primary care clinic of the future isn’t going to look like most primary care clinics today 24

25 Healthcare Homes: Why are They Important? The Group Health Cooperative Story 2002-2006: Move towards Medical Home – Email your Doctor – Online Medical Records – Same Day/Next Day Appointment (Increased patient access but also saw provider burn-out and decline in quality scores) 2007: More robust Healthcare Home Pilot – Added more staff (15% more docs; 44% more mid-levels; 17% more RNs; 18% more MAs/LPNs; 72% more pharmacists) – Shifted to 30 minute PCP slots (Reduced burnout, increased quality scores, broke even in the first year) 25

26 Healthcare Homes: Why are They Important? In Denmark, over the last few decades, the number of hospitals has dropped from 155 to 89 today, a 42% drop. (Sources: Paul Grundy, Director of Healthcare, Technology and Strategic Initiatives for IBM Global Wellbeing Services and Wikipedia) And in the US: “Pilots in the U.S. include Geisinger's, which Grundy says has been remarkably successful, yielding … a 12% reduction in ER utilization, a 20% reduction in hospitalization, and a 48% reduction in rehospitalization. (excerpt from David Harlow’s Health Care Law Blog 9/15/2009) 26

27 But wait... 27

28 Question 2: If healthcare reform results in the shift from a sick care system to a health care system, how will this affect Americans with a co-occurring disorder? 28

29 We start with the “Business Case” SU conditions are prevalent in primary care SU conditions add to overall healthcare costs, especially for Medicaid SU conditions can cause or exacerbate other chronic health conditions SU interventions can reduce healthcare utilization and cost 29

30 The Medicaid expansion population will have high rates of substance abuse 30

31 Untreated substance abuse is a key driver of chronic disease progression 31

32 Health Care Reform creates incentives for funding alcohol/drug treatment to prevent disability Starting in 2014, new non-disabled Medicaid enrollees will have their coverage paid 90% to 100% by the federal government The Feds will only pay 50% match if you’re disabled, creating an enormous incentive to prevent or delay disability from SU/COD ($20M over 7 yrs) 32

33 Alignment of the Stars for Persons with MH/SU/COD Disorders? Growing awareness of the prevalence of MH/SU/ COD and the cost of not providing effective treatment and supports Combined with parity and the increased risk of near universal coverage for the safety net population Combined with the an awareness that – Behavioral Health is necessary for Health – Prevention is Effective – Treatment Works – People Recover Results in increasing recognition that we can’t bend the curve without addressing the healthcare needs of persons with a SMI and the MH/SU needs of all Americans 33

34 Question 3: But will all these great ideas really work for Americans with co-occurring disorders? 34

35 But will all these great ideas really work? Short Answer: Maybe Longer Answer: – We really have no choice economically – We have the knowledge and technology to invert the resource triangle – But we need a COD provider system and COD clinical workforce that’s ready and willing to become part of this new healthcare ecosystem 35

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